PayPal’s High Fees May Have Given Crypto a Lifeline, but There Are Huge Challenges ahead.
In what could count as a boost for propagating the adoption of cryptocurrencies, April 2018 saw Paypal – the world’s most extensive payments network – announce a fixed levy of $4.99 per cross-border transaction. However, low fees represent only one certain benefit, with other issues severely impeding the sector’s growth. Crypto’s Low Transfer Fees Paypal’s move was satirically lauded by crypto enthusiasts, who argued that the high service fees charged by centralized bodies will not compete with the minuscule fees when using cryptocurrencies. This sentiment is deeply grounded in reality, as the fee hike helps expose the deficiencies of using traditional, centralized payment operators. Despite all negative press, Bitcoin’s average transaction fee, at the time of writing, is under $2, and this figure remains constant regardless of the user’s location. The potential cost savings aren’t limited to bitcoin either. For example, Litecoin (LTC) processed a $99 million transact